3M’s May Sales Figures Show Decline
3M has reported sales information for the month of May. The St. Paul, Minnesota, company, which operates in the promotional products market through its 3M Promotional Markets Dept. (PPAI 113638, S11), posted sales of $2.2 billion in May, down 20 percent year-over-year.
The company reports that organic local-currency sales—which includes organic volume impacts and selling price changes—declined 21 percent, while acquisitions, net of divestitures, increased sales by two percent. Foreign currency translation reduced sales by one percent, year-over-year.
Breaking sales down into categories, 3M says that total sales declined 11 percent in health care, 12 percent in consumer, 17 percent in safety and industrial, and 30 percent in transportation and electronics. Organic local-currency sales declined 11 percent in consumer, 15 percent in safety and industrial, 22 percent in health care, and 28 percent in transportation and electronics. On a geographic basis, total sales declined 15 percent in Asia Pacific, 21 percent in the Americas and 26 percent in EMEA (Europe, Middle East and Africa). Organic local-currency sales declined 15 percent in Asia Pacific (including China, down six percent, and Japan, down 18 percent), the Americas declined 24 percent (including the U.S., down 22 percent) and EMEA declined 25 percent.
The company notes that May’s sales information was impacted by two fewer business days—20 days this year versus 22 days last year—or a negative nine-percent year-on-year impact. The company will have two additional business days in June 2020 versus June 2019. As a result, there will be no year-on-year business day impact for the second quarter.